Infosys declared on Thursday that the US Department of Labor's suspension of new and pending applications under the Permanent Labor Certification (PERM) programme—action taken against certain companies, including the Bengaluru-based IT major—will not dent its operational bottom line. The statement, filed with stock exchanges, marked the company's first public response to the regulatory crackdown that has rattled the sector. "We do not anticipate the announcement of such suspension to have a material impact on the organisation," Infosys said, directly addressing investor anxiety over potential visa bottlenecks.
The company positioned its response around its long-term strategy of building self-sufficient US operations. Rather than relying heavily on H-1B or PERM pipelines, Infosys pointed to its substantial investments in local technology and innovation hubs across the United States. This shift toward a localized workforce, the company argued, insulates it from the immediate administrative freeze on new permanent labor certifications.
It’s a deft pivot. By framing the issue as a compliance and localization matter rather than a crisis, Infosys aims to stabilize its stock price and reassure clients. The firm reiterated its commitment to working with the Department of Labor and other government agencies to resolve any outstanding queries, signaling a cooperative rather than adversarial stance toward Washington.
For now, the market will watch for any further regulatory clarifications from the US DOL. Infosys, meanwhile, continues to operate under the assumption that its current US staffing levels are sufficient to meet client demands without new permanent hires.